Wednesday, February 8, 2012

ADT-Linked Scam Spreading Nationwide



Secret Service Visited New York Victim, ADT Official Responds

A FROM THE G-MAN EXCLUSIVE

From The G-Man has uncovered a scam involving a bogus independent contractor, or nefarious groups operating as such, claiming to be associated with ADT Security, a provider of security systems to millions of homes across the country.

The complaints date as far back as 2008 and consumers have lost thousands of dollars in a hoax that continues to engulf the nation.

On February 1, From The G-Man received a phone call, as well as the following email, from a recent victim based in the state of New York, who requested that his name not be made public.

“I was contacted by a representative of “Protect Your Home”, by phone, and was offered an alarm system by ADT. The caller stated that Protect Your Home was working as an independent contractor for ADT, which meant that they would install the security system on behalf of ADT,” said the complainant.

According to the complainant, it was during this initial conversation that the caller also indicated that “Defender Security” was the parent company of Protect Your Home and cited 97-29 64th Road, Forest Hills, New York, as the address for the parent company.

“I was informed that the security equipment was free and that a refundable installation charge of $107.51 would be charged to my bank account. I thought it was an okay deal and didn’t think anything to the contrary, since I had an ADT rep in my home earlier that day.  Ultimately, I accepted the offer and made an appointment for installation. The payment was debited from my account about two minutes after I hung up,” the complainant noted.  

Several days after the installation, the complainant received an email from a company called MPELL Solutions, which is based in Encinitas, California. The email instructed the victim to print out an attached form, fill it out, and mail a copy of the security contract and a check for $4.95. 

"They repeatedly wrote me stating that once they received the requested items, it would take between six to eight weeks to send me a Visa gift card for $100.00. I was never told by the Protect Your Home representative that I would have to pay to get my refund, and I had a serious problem with sending MPELL the first page of my contract with ADT. I also didn't think it was right that I had to pay to get a refund, which, by the way, does not total what I paid for the installation," the complainant stated.

"I did some research, and it turns out I'm not the only one that this has happened to. People are being ripped off, and elected officials and federal agencies need to look into this." 

The MPELL email went on to state that the refund offer would be voided after 30 days if the requested documents were not sent.

“My wife and I are very upset and would like Protect Your Home to honor what I was told by the phone rep and refund my $107.51 or – since they didn’t honor the original agreement that was offered – they can send the tech back to my home to remove the equipment and refund a total of $155.78 withdrawn from my account: $107.51 for installation and $48.21 that has been taken by ADT,” said the Long Island resident.

On February 2, From The G-Man contacted parent company Defender Security and spoke with a representative to obtain more clarity on the installation process and to confirm its relationship with Protect Your Home and ADT.

“You have no idea how glad I am to know someone is finally looking into this. It has been a major problem for our company for a very long time,” said N. Allen, who noted she was the office manager.   

“This is a security guard and private investigations company. So many people have called here for years, especially elderly people, screaming that ‘we took money out of their accounts’. I feel so bad for these people because I don’t know what to tell them or how to help them. They’ve called from all over the country. I just keep telling everyone that they have the wrong company. We’re not taking your money,” stated Allen.

The next day, From The G-Man received the following email, which confirmed the office manager’s statements.

Dear Mr. Gary Glennell Toms,


Thank you very much for contacting Defender Security Services, Inc. and making Defender aware that unauthorized person or persons are using our name that have no affiliation with us.

Defender Security Services, Inc. has no affiliation with Protect Your Home or ADT. We do not install alarms and do not do business with alarm installation companies. We are providers of security guards and provide private investigations and security surveys for our clients. In the past we were notified that persons unknown to us were using the Defender name and committing fraudulent acts. As we were notified of these acts we instructed the victims of those act to notify the local law enforcement agency and file a complaint with that agency.

Defender also was a victim of a check scam that included victims in various states. Defender notified the New York City Police Department and the U.S. Secret Service. We were also forced to change our banking accounts.

I strongly suggest that any victims of this scam notify the local Law Enforcement agency. Please call me should you need any assistance in this matter. Thank you.

Respectfully,

Richard Simon
Vice President
Defender Security Services, Inc.

Congressman Bob Turner represents the Forest Hills area where the scams are still taking place. A phone call was placed to media director Joshua Spielman to find out if the congressman was aware that other constituents have been or may be targeted. Congressman Turner has not responded.

The email from Defender Security vice president Richard Simon was also forwarded to Congressman Turner and Spielman to stress the seriousness of the matter and to obtain comment. There has been no response.

MPELL Solutions was also contacted for comments. An MPELL representative confirmed that the company is affiliated with Defender Security, but that company is based in Indianapolis, Indiana, not New York.

Calls were placed to Defender Security’s Indianapolis office to obtain more information, but an actual representative could not be reached.

On February 2, Bob Tucker, Public Relations Director for ADT Security, was contacted to confirm ADT’s relationship with Protect Your Home. Tucker offered the following:  

“ADT uses many independent contractors, including Protect Your Home, so I’m not exactly sure who may be involved. Email me what you have and I’ll take a look at it,” said Tucker.

When asked if ADT executives would be concerned if they learned the scam has been operating on a national level for years -- and that it could eventually have an adverse effect on the company’s bottom line -- Tucker responded, “Absolutely!”

On February 7, Tucker sent an email to From The G-Man in response to the investigation.
     

"Defender, a totally separate company from ADT, which is authorized to sell our products, is resolving this issue with the customer. He will be contacted later today and a refund will be issued. Case closed." 

If comments are provided at a later date by Congressman Turner, Spielman, or Defender Security (Indianapolis), From The G-Man will publish them… uncensored and unedited.

The links below list complaints filed by homeowners on "The Rip-Off Report" and other sites. The complaints involve Protect Your Home and a company called Protect America. 



Image courtesy of http://www.clker.com

6 comments:

  1. Spot on with this write-up, I honestly believe
    that this web site needs far more attention. I'll probably be back again to read through more, thanks for the advice!

    my blog post :: about banners broker website

    ReplyDelete
  2. I had an ADT alarm installed and was promised a 100 dollar refund. I applied as directed but had to pay 4.95 to get them to send it to me and fill out paperwork for MPELL.

    When it arrived it doesn't seem like an ordinary gift card, its more like a credit card you use and if you don't they charge you an annual fee.

    How can this be legal? Is this going to be one of those class action law suits one day?

    Scott Bentley, Ohio

    ReplyDelete
  3. It is May 2017 and they are still doing this kind of business. I was struck by how eerily similar your blog's story is to my own story. If anyone is doing a class action lawsuit, I'd like to be included. I have had nothing but problems, misinformation, bad customer service, and equipment problems from day one. No one wants to take responsibility and is quick to point fingers or get rude with me, trying to make me feel like I'm the one causing the trouble. Although they state that calls are recorded, they will deny that they told you to do things and refuse to pull recordings. I have spent hours being transferred from person to person. ADT, Protect Your Home, Defenders, etc. Now, the gift card company states that they did not receive my request and money order and I am back to square one with them. They have a post office box so you can't do a tracking service for your mail to them. I ramble. I wish I had seen this blog before I signed on with the company. I've even sent letters to their corporate offices and no one responds.The bottom line is that the company (sub contractor) just doesn't care about customer service or customer retention.

    ReplyDelete
  4. This scam is still going on. I’m a victim of it.

    ReplyDelete
  5. I too was contacted by Defender and talked into having ADT install a security system in my house with the promise that $100 would be returned to me in a gift card. Well I sent in all my paperwork, scanned it and the envelope with the post date, and sent in to Mpell. To this day I still have not received anything. ADT is quick to say they know about the scam but they aren't part of it.

    ReplyDelete